Could Be A Crazy Day

New York (May 29)  As traders return from the Memorial Day holiday, markets are under pressure. On Monday with the markets open electronically, equities were higher, while metals and energy were under pressure. Today equities are getting hammered and gold has rallied back to unchanged.

This holiday-shortened week could pack a big punch in all markets, with the equities testing support, energy breaking down, bonds spiking higher and the dollar testing 95. Through it all, the metals have appeared to find some stability and are holding up nicely. Not even the runaway dollar has been able to dampen the metals the last couple of days.

Markets should remain on edge this week with the jobs number on Friday; however, gold and silver appear to have put in bottoms and should rally higher. Gold should test the $1,330 level and silver $16.80 to $ 17.00. Gold should hold $1,300 and silver $16.30. We would look to buy at those levels.

KitcoNews